Rejected Tax return

[MH-20]

Hi,

My status is married filing separately and I am using Turbo tax software.  I mistakenly added my daughter as a dependent and then e-filed. After my taxes got accepted, I amended with form 1040-X to remove my daughter then I e-filed the amendement for both Federal and State and got accepted too.    I even mailed form 1040-v with my check payment. Now my wife, who is trying to file claiming my daughter, is getting her taxes rejected. Is there a time frame for my e-file to update? What can be the issue?

[DoninGA · Accepted solution]

Amended tax returns can take 4 months and longer for the IRS to process.  So your original tax return is causing your wife to have her e-filed tax return rejected.

See will have to print and mail her tax return.

[xmasbaby0 · Accepted solution]

Your wife will have to print sign and mail her return.   You put the child's SSN into the system --- that amended return will take months to get into the system.   She has to file by mail now in order to claim your child.   She should not wait around for your amended return--it will do her no good to wait.

When you mail a tax return, you need to attach any documents showing tax withheld, such as your W-2’s or any 1099’s.  Use a mailing service that will track it, such as UPS or certified mail so you will know the IRS/state received the return.

Federal and state returns must be in separate envelopes and they are mailed to different addresses.  Read the mailing instructions that print with your tax return carefully so you mail them to the right addresses.

[xmasbaby0]

And...why are you filing separate returns--usually the worst way to file?

If you were legally married at the end of 2021 your filing choices are married filing jointly or married filing separately.

Married Filing Jointly is usually better, even if one spouse had little or no income. When you file a joint return, you and your spouse will get the married filing jointly standard deduction of $25,100 (+$1350 for each spouse 65 or older)  You are eligible for more credits including education credits, earned income credit, child and dependent care credit, and a larger income limit to receive the child tax credit. 

If you choose to file married filing separately, both spouses have to file the same way—either you both itemize or you both use standard deduction. Your tax rate will be higher than on a joint return. Some of the special rules for filing separately include: you cannot get earned income credit, education credits, adoption credits, or deductions for student loan interest. A higher percent of your Social Security benefits may be taxable. Your limit for SALT (state and local taxes and sales tax) will be only $5000 per spouse. In many cases you will not be able to take the child and dependent care credit. The amount you can contribute to a retirement account will be affected. If you live in a community property state, you will be required to provide additional information regarding your spouse’s income. ( Community property states:  AZ, CA, ID, LA, NV, NM, TX, WA, WI)

 If  you are using online TurboTax to prepare your returns, you will need to prepare two separate returns and pay twice.

https://ttlc.intuit.com/questions/1894449-married-filing-jointly-vs-married-filing-separately

https://ttlc.intuit.com/questions/1901162-married-filing-separately-in-community-property-states

https://ttlc.intuit.com/questions/1894449-is-it-better-for-a-married-couple-to-file-jointly-or-separ...